Upland city manager given the go-ahead to research budget remedies

UPLAND - City Manager Stephen Dunn has been authorized to evaluate potential cuts and revenue increases to address the city's dwindling fiscal condition.

Council members on Monday - with the exception of Councilman Gino Filippi - gave Dunn the ability to move forward on a list of long-term recommendations to help restore reserves and free up money in the general fund.

"I have to say, these are just recommendations. There's nothing here I'm saying I absolutely want to do," Dunn said. "I want to dig into what is driving those expenses and see if there's a way of doing something different that could save ourselves some money."

Dunn said he will begin to bring his final recommendations back to council members in January.

"I would start doing that the first part of January 2013, only because in the last week or so, since we met on Nov. 7, there has been some movement with labor and I'd like to see where that goes," he said.

Dunn presented the recommendations to council members at a Nov. 7 special meeting.

The council had asked Dunn to return with more information on long-term recommendations, but agreed to short-term suggestions that include making $229,000 in cuts and transferring $250,000 from the gas-tax fund if necessary.

The city's reserves have fallen from a projected $4.2 million to $932,000.

The Animal Services, Self-Insurance and General Capital Improvements funds are operating with a $5.3 million deficit to the city's General Fund.

The city also needs $3 million to restore their reserves to 10 percent of their expenditures.

There are areas of the budget that are under funded or not funded such as vehicle replacement, post-employment benefits, street repairs, sidewalk repairs and alley repairs.

City officials are asking employees to pay their portion of their pension and other concessions.

Filippi voted against the recommendations because he wants consistency on the amount of savings needed, which is a minimum of $2 million.

"I was under the understanding that if the employees came together cumulatively we'd be close to our target, which the target I understand is $2 million and the employees coming together on their benefits would be close to $1.6 million," Filippi said.

"Then, (Monday) he shared with me that he really needs $4 million, so I just want consistency. I want as much consistency in the numbers as I can get before I feel confident about voting a certain way."

The long-term recommendations include exploring alternative ways to provide various city services.

Renegotiating the contract for the air ambulance, which would save from $250,000 to $400,000.

Running a paramedic-only unit out of Fire Station 2, saving from $320,000 to $480,000.

Authorize a rolling brown out of a fire station to keep overtime costs down, which has been approved by the City Council

Asking employees for concessions, saving between $1.03 million and $1.36 million.

Upland City Manager Stephen Dunn will look into several revenue options to help the city's finances.

They include:

Place a business license tax increase on the 2014 General Election ballot, which would generate $160,000 to $400,000.

Implement a commercial fire inspection fee that would raise from $50,000 to $150,000.

Introduce fees for use of facilities and lights, which would generate from $40,000 to $80,000.

Canvass for unlicensed animals that would generate $50,000 to $200,000.

Modify the city's investment portfolio that would raise from $10,000 to $25,000.

Consider other new fees to generate up to $100,000.

Dunn and city staff will also look into creating one-time revenue to be used toward the reserves by selling property, which could result in an additional $350,000, or selling cell tower leases to gain $1.7 million, but will result in the loss of $150,000.